Faiza Tehseen

Pakistan Tourism Development Corporation (PTDC) has started leasing out its properties – mostly hotels – with a view to upgrading them to attract visitors and generate revenues.

“This initiative is aimed to make the tourism and hospitality sectors more sustainable,” said Aftabur Rahman Rana, PTDC Managing Director. Talking to WealthPK, he said: “The government aims to encourage the private sector to come forward and invest in the tourism sector. Private investment will be helpful in the upgradation of the infrastructure, including hotels, that were built in the 80s.” He said the PTDC hotels had spacious parking lots, adding that the leasing out of these properties to the private investors would help reduce burden on taxpayers. He said leases were being issued through an open bidding process. He said PTDC was actively working with provincial governments to lease out its properties to different private stakeholders. Rana said PTDC had made the upgradation of its properties a mandatory part of the lease agreements.

“Before offering the bid, every participant is required to submit a comprehensive development plan. To maintain the standard, a continuous monitoring mechanism will be followed through the specially hired firms. The initial lease will be issued for a period of five years followed by an annual assessment process. In case of non-meeting of the contract conditions concerning quality maintenance or further additions to buildings, PTDC reserves the right to discontinue the agreement.” The PTDC managing director said if the improvement and quality were up to the mark, the lease period may be extended to 10, 15, or up to a maximum of 20 years because the improvement in standard of quality and services couldn’t be done on a short-term basis. Rana said 13 properties in Gilgit Baltistan had already been leased out to private entrepreneurs. “Hopefully, they will upgrade these assets and will operationalise them by the start of May, which heralds the beginning of the tourism season in the country’s northern parts.

Side by side, PTDC is conducting various workshops, seminars, and conferences to encourage collaborative work between the government and private investors.” Speaking to WealthPK, Yasir Hassan, Manager of Karakoram Adventures, Islamabad, a tour operator, said leasing out of PTDC properties to private entrepreneurs was a good step. He said the leased-out places would be upgraded, attracting tourists to GB in droves. Highlighting the importance of PTDC’s initiative to lease out its properties, GB tourism department’s Baltistan deputy director Rahat Karim Baig said: “It is a positive initiative that will help promote tourism in the region. “It is a good measure aimed to generate revenues. As leaseholders will renovate and upgrade the places, so this will lead to preservation of our national assets in a positive way.”

Credit: INP-WealthPk